Recovery from war after 1945 - Stalin Flashcards
(6 cards)
Economic consequences of the war
WW2 set the Soviet economy back significantly.
By 1945:
- 25 million people were homeless.
- Soviet industry was producing around a third of what it had during 1940.
- Soviet agriculture was producing around half the grain it had 1940.
Industrial recovery
Almost 90% of economic investment was devoted to developing heavy industry.
By 1950 the Soviet economy was producing more coal, oil, electricity, iron and steel than it was in 1940.
It was the fastest growing economy in the world.
Military spending
The development of the Cold War meant that the Soviet Union continued to prioritise military spending.
By 1952, military spending budget was around 25% of government spending.
Led to real achievements - by 1949 Soviet scientists had successfully tested their first atomic bomb.
Economic problems
The economy remained inefficient due to the command economy.
Soviet workers remained unproductive.
Light industry failed to grow- consumer goods remained scarce.
High-tech production lagged behind other modern economies.
Tractors, trucks and other high-tech goods were poorly made.
Farming remained labour-intensive and a lack of incentives meant that productivity was low.
Stalin’s economy
Stalin industrialised the Soviet economy.
Stalin wanted to build giant factories, huge aeroplanes and produce vast quantities of steel.
However, he was not interested in efficiency or consumer goods.
Lenin and Stalin’s ‘achievement’
The essentials of Lenin’s one-party state and Stalin’s command economy remained at the heart of the Soviet system until the late 1980’s.